Why Neon Therapeutics, Inc. (NTGN) Stock Was Rallying Today

What just happened? Neon Therapeutics, Inc. (NASDAQ:NTGN) stock value has climbed by nearly 11.8% or (0.28 points) to $2.67 from its previous close of $2.39. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 171946 contracts so far this session. NTGN shares had a relatively better volume day versus average trading capacity of 182.31 thousand shares, but with a 23.65 million float and a -8.78% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for NTGN stock indicates that the average analyst price target is $17.78 per share. This means the stock has a potential increase of 565.92% from where the NTGN share price has been trading recently which is between $2.31 and $2.48. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $12.

The shorts are climbing into Neon Therapeutics, Inc. (NTGN) stock. The latest set of short interest data was released on 31 July 2019, and the numbers show a rise in short interest in NTGN shares. While short interest still represents only 2.41% of NTGN’s float, the number of shares shorted have risen by 30708. The number of shares shorted advanced to 600558 shares, up from 569850 shares during the preceding fortnight. With average daily trading volumes at 323043 shares, days to cover decreased to about 2.703786 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Neon Therapeutics Reports Second Quarter 2019 Financial Results” and dated August 06, 2019.

During the recent trading session for Neon Therapeutics, Inc. (NASDAQ:NTGN), the company witnessed their stock drop by $-0.01 over a week and tumble down $-1.71 from the price 20 days ago. When compared to their established 52-week high of $12.69, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 03/10/18. The recent low of $2.31 stood for a -78.94% since 12/08/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for Neon Therapeutics, Inc., the two-week RSI stands at 34.88. This figure suggests that NTGN stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current NTGN readings is similarly very revealing as it has a stochastic reading of 12.24% at this stage. This figure means that NTGN share price today is being overbought.

Technical chart claims that Neon Therapeutics, Inc. (NTGN) would settle between $2.48/share to $2.56/share level. However, if the stock price goes below the $2.31 mark, then the market for Neon Therapeutics, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $2.22 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.12. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.

Analysts at Robert W. Baird, assumed coverage of NTGN assigning Outperform rating, according to their opinion released on July 26. Mizuho, analysts launched coverage of Neon Therapeutics, Inc. (NASDAQ:NTGN) stock with a Buy recommendation, according to their flash note issued to investors on June 04. Analysts at H.C. Wainwright, made their first call for the equity with a Buy recommendation, according to a research note that dated back to May 30.

NTGN equity has an average rating of 1.44, with the figure leaning towards a bullish end. 9 analysts who tracked the company were contacted by Reuters. Amongst them, 0 rated the stock as a hold while the remaining 9 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 9 analysts rated Neon Therapeutics, Inc. (NASDAQ:NTGN) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.